10 Best Retail Stocks To Buy Now

5. Ross Stores, Inc. (NASDAQ:ROST)

Number of Hedge Fund Holders: 55

Ross Stores, Inc. (NASDAQ:ROST) is an apparel retail company based in Dublin, California. It operates off-price retail apparel and home fashion stores. The company’s brands include Ross Dress for Less and dd’s DISCOUNTS.

Guggenheim analysts maintain a Buy rating on Ross Stores, Inc. (NASDAQ:ROST) as of May 24, while the average analyst price target on the stock is $162.8 as of June 28.

Being a dividend stock, Ross Stores, Inc. (NASDAQ:ROST) is considered an attractive stock pick for passive income investors. At the same time, the company is renowned for its proficiency in offering highly discounted department and specialty store products to its customers due to its efficient buying agents. Ross Stores, Inc. (NASDAQ:ROST) has a long-term goal of opening over 3,500 stores in the US, showing the company’s rapid growth and ability to expand in the future.

Ross Stores, Inc. (NASDAQ:ROST) was seen in the portfolios of 55 hedge funds in the first quarter, with a total stake value of $2.1 billion.

In its fourth-quarter 2023 investor letter, TimesSquare Capital Management mentioned Ross Stores, Inc. (NASDAQ:ROST):

“In Consumer-oriented sectors, we lean towards value-oriented or specialty retailers, franchise models, as well as premium brands. Also gaining 23% over the quarter was Ross Stores, Inc. (NASDAQ:ROST), an off-price retailer featuring apparel and home fashions. Third quarter results were solid as sales comparisons accelerated with higher levels of customer traffic across geographies. Management raised full-year guidance. We added to the position given our increased conviction at the start of the quarter.”